ZTR: Saba Discloses 5.04% Stake and Activist Options
View the ZTR Dividend Stock Profile
Saba Capital Management disclosed a 5.04% stake in Virtus Total Return Fund Inc. (NYSE: ZTR) in a Schedule 13D filed on September 30, 2026, opening the possibility of an activist campaign at the closed-end fund.
Saba reported beneficial ownership of 2,519,703 common shares. The filing says the shares cost approximately ﹩16.45 million and were acquired because Saba believes they are undervalued. The reported percentage uses 49,993,603 shares outstanding as of May 31.
The filing says Saba may discuss ZTR’s discount to net asset value, governance, strategy, board appointments, whether the fund should remain closed-end, and the timing of a possible liquidation. It also identifies share buybacks, tender offers, liquidation, and a change in investment manager as actions Saba may seek.
For shareholders, the filing introduces a potential catalyst for narrowing the market-price discount or changing the fund’s structure. It does not announce an agreement with ZTR, a formal proposal, or a completed transaction. Saba may also increase, reduce, hedge, or sell its position.
The ownership filing does not by itself change ZTR’s earnings, net asset value, or distribution capacity. The next evidence to watch is whether Saba submits a shareholder proposal, nominates directors, or reaches an agreement with the fund.
Sources
This article is general information, not personalized investment advice. Fly High Investing may hold securities discussed in this article.